Winchester-Frederick County, VA Third Quarter Real Estate Market Report – 2017

Winchester-Frederick County, VA Third Quarter Real Estate Market Report – 2017

The Winchester-Frederick County, VA third quarter real estate market for 2017 showed continued growth and stability. The numbers that need to be up are up and the numbers that should be down are down. That’s good news for buyers and sellers.

Winchester-Frederick County, VA Third Quarter Real Estate Market Report – Up Numbers

For sellers, the average price of a three bedroom 2 bath home has climbed consistently for the past five years. The current average price is $279290. That is a 17% increase from the 2013 average sales price of $233113. For sellers, that’s a welcome change from the difficult days of the recession.

The number of home sales is consistent with the past five years. The number of home sales in the third quarter of 2017 was 452. The average over the past five years is 456. Where the real change in the local real estate market can be seen is when you look back to the recession and follow the recovery as it unfolded.

Winchester-Frederick County, VA Third Quarter Real Estate Market Report – Where we’ve been.

The recession did not take full effect until 2009. In 2009, third quarter home sales were 378 and Winchester-Frederick County, VA Third Quarter Real Estate Market Report - 201751% of those sales were distressed properties (foreclosures and short sales). It took an average of 93 days for a home to get to closing. The average home sale was $199640. Compare that to the same period in 2007 and you see that home values dropped 37%. An average home sale in the third quarter of 2007 was $315968.

Shift forward to 2017 and home values have not recovered to that 2007 point, but they have reached a true market value and not the inflated value of 2007. Current market values are now off 12% from the same period in 2007. That gives you some sense of the how inflated prices had risen in the pre-recession years. The current market values have increased in a steady pattern since 2013.

Winchester-Frederick County, VA Third Quarter Real Estate Market Report – Steady improvements

Third quarter price increases rose 4.5% in 2014, 4.4% in 2015, 5% in 2016 and 3.6% in 2017. Third quarter numbers are still being calculated nationwide, but the second quarter numbers give us a glimpse into the nationwide market stability and how it compares to our local market. The second quarter price increases came in at 6.2%. The Winchester-Frederick County third quarter real estate market is right in line with the majority of the nation.

With a steady, and healthy, increase in home values, and a radical drop in distressed properties since the worst days of the recession, it is easy to say the Winchester-Frederick County, VA real estate market is strong a vibrant. There is little concern or worry about bubbles looming on the horizon.

It is a good time to buy, and it is a good time to sell. Interest rates are still at historical lows and homes that are ready to sell, sell quickly and for values near their list price. A 1% – 2% sale discount is common, and discounts exceeding those numbers may show that a property was overpriced for the current market environment at the time of list.

When you’re ready to buy your dream home on the Winchester-Frederick County, VA real estate market, give Cornerstone Business Group, Inc., a call. We are your local sales pros. And, we can do the same when time comes to list your amazing home. Gives us a call, and let’s make something great happen.

 

What type of home buyer are you?

What type of home buyer are you?

What type of home buyer are you? It is important that you answer that question before getting too involved in a home search.
There are three basic types of home sales. Each one can have advantages and disadvantages.

 Fair Market Sales

  • Typically the easiest to find, financ
  • Can tend to be overpriced, but not always.  Can be negotiated with many sellers
  • Most Realtors are well versed in the fair market process
  • Properties are often not vacant
  • Owner impact on the property will be more obvious
  • Owner may be willing to make repairs
  • Owner may be willing to add closing costs

 Foreclosures

  • Easy to find in today’s market
  • Financing may be hindered by property condition – may require a renovation What type of home buyer are you?loan
  • May be damaged by previous owner – or may need more repairs due to previous owner’s inability to keep the property up during their financial struggle
  • REO companies do not like to do repairs – normally sold “as is” – may do system repairs due to necessity
  • Prices tend to be lower because it’s a foreclosurewww.
  • More room for price negotiation than short sales
  • Closing is about the same as Fair Market once a contract is ratified
  • REO companies may be willing to add closing costs
  • REO companies want things to move swiftly once the contract is ratified – they don’t like contingencies
  • Buyer may be subject to per Diem fees if he/she is responsible for a delayed closing
  • Not all Realtors are familiar with the REO process, but it is easier to learn on the job

 Short Sales

  • Easy to find in the current market
  • Listing price may not have been approved by the lender prior to listing
  • Will require more time to secure contract acceptance and ratification – can be as long as 3-6 months, and beyond.  There are signs that banks are finally accepting the inevitable and are processing short sales more quickly.
  • Just because a seller says yes to a purchase offer doesn’t mean that the buyer has a good contract.  The third party may not accept the buyer’s offer.  Then Buying a Short Sale in Winchester VAagain, the third party may counter the offer.
  • The buyer cannot fall in love with the property.  There are numerous things that can go wrong.  Advise the buyer not to fall in love with anything that can’t love him/her back.
  • Financing is similar to fair market financing
  • If the buyer has the time, patience and money to buy, it can be a great option.  Many short sales are equal to and/or lower than foreclosure prices.
  • Not a good choice if time is a factor
  • Houses tend to be in better condition
  • The short sale company will almost never do repairs.
  • Short sale companies do not like any contingencies
  • Short sale companies almost never offer closing costs
  • Short sale companies may try to change the rules at the last minute affecting Realtor compensation and seller contributions to the sale
  • Not always vacant
  • Not all Realtors are familiar with the short sale process – this can hinder the entire process

All three types of purchase should be considered when looking at homes for any, and all buyers.  The buyer’s circumstances may be more of a consideration than the type of home purchased. Regardless of the type of home buyer you are, Cornerstone Business Group, Inc. can help you find the right house at the right price. Give your Cornerstone Business Group, Inc., agent a call today. We are your local real estate sales pros.

What type of home buyer are you?

Winchester, VA Real Estate Market Update – September 2015

The Winchester / Frederick County, VA real estate market saw 150 sales in September 2015. Of those sales, 12% were distressed property sales. Six sales were short sales and 12 sales were foreclosures. The September number of total sales was down 17 sales from August, but that is consistent with the 2014 numbers. In 2014, September sales were 129 with a 13% distressed property sales.

The distressed property sales were up 3% from the previous 8 months, but the September 2015 number is consistent with the 2014 number. The Summer of 2013-2015 have followed similar patterns in the number of properties listed, sold and how many were distressed properties. The market appears to have found its equilibrium. There were no major market shifts through the end of the third quarter.

The Winchester / Frederick County, VA real estate market has settled into a consistent pattern that agents, buyers and sellers can use to make market decisions. The ebb and flow of the local real estate market has been basically the same for three years. That should bring some comfort to homeowners who are thinking of making a real estate move figure_house_shopping_1600_clr_2083in the final quarter of 2015.

There is more good news for fourth quarter buyers. RealtyTrac recently released a study based on 32 million home sales over the past 15 years. They found that October is the best month to buy a home, followed by February, December and January. Monday and Friday were the best days of the week to buy, and October 8 is the single best day of the year to purchase a home. Buyers should not let cooler temperatures keep them from fulfilling their home buying dreams. They may just get a better deal in the Fall and Winter months. When that days rolls around, give your Cornerstone agent a call. We are your local real estate sales pros.